Non-Resident Taxes In Spain

If you own property or earn income in Spain but don’t live here full-time, you’re still on the hook for several taxes — and failing to pay them can lead to fines, embargoes, or even blocked property sales. This 2025 guide explains exactly which taxes non-residents must pay in Spain, how often they’re due, and what happens if you ignore them.

What Counts As Being a Non-Resident in Spain?

Before diving into tax obligations, it’s essential to understand whether you're officially classed as a non-resident. Under Spanish law, you're considered a tax resident if any of the following apply:

• You spend more than 183 days in Spain during a calendar year.
• Your primary economic interests or business activities are in Spain.
• Your spouse and/or dependent children reside in Spain.

If none of these conditions apply, you're treated as a non-resident — which means you are only taxed on your Spanish-sourced income and assets.

I.B.I. (Impuesto Sobre Bienes Inmuebles)

This is Spain’s version of local council tax. All property owners must pay I.B.I. annually, whether resident or not. The tax is based on the property’s valor catastral (rateable value), which is usually lower than the market value.

The rate typically ranges from 0.4% to 1.1% depending on the local authority. Payment is made to the town hall or regional tax agency (e.g. SUMA in Alicante).

More info: What is IBI Tax in Spain?

NRIIT – Non-Resident Imputed Income Tax

If your property is not rented out, you still owe tax on it under the concept of “imputed income”. This means the government assumes you're gaining benefit simply by using or owning it, and taxes you accordingly — even if it's vacant or used only by friends and family.

Imputed income is calculated at 1.1% or 2% of the valor catastral depending on when the value was last updated. The resulting figure is then taxed at 24% (for non-EU/EEA citizens) or 19% (for EU/EEA citizens).

The tax is filed annually using Modelo 210 and must be submitted by December 31 for the previous year.

NRIT – Non-Resident Rental Income Tax

If you rent out your Spanish property, you must declare the rental income and pay tax quarterly. This is known as NRIT — Non-Resident Income Tax. It is calculated on actual rental income, minus allowable deductions (only available to EU/EEA residents).

The tax rates for 2025 are:

• 19% for EU/EEA residents
• 24% for non-EU/EEA residents (e.g., UK, US, Australia)

Quarterly declarations must be made using Modelo 210 by:

• April 20
• July 20
• October 20
• January 20 (for Q4 of the previous year)

Capital Gains Tax (CGT)

When you sell property or other Spanish assets as a non-resident, you are liable to pay capital gains tax on any profit made. This applies to real estate, shares, and other capital investments located in Spain.

CGT is charged at a flat rate of 19% for non-residents. The taxable amount is the profit made after subtracting purchase costs, legal fees, and capital improvements from the sale price.

To ensure compliance, 3% of the sale price is automatically withheld by the buyer and paid to the tax office (Modelo 211). You must then submit Modelo 210 within three months to reconcile the amount and claim any refund if applicable.

More info: Capital Gains Tax in Spain

Inheritance Tax (ISD)

Inheritance tax applies to all beneficiaries who inherit Spanish property or assets, regardless of their residency status. The tax must be paid within 6 months of the date of death, with possible extensions and penalties for delays.

Each autonomous community sets its own allowances. For example:

• In Andalucía, heirs may receive up to €1,000,000 tax-free.
• In Madrid, Murcia, and Valencia, up to 99% of the inheritance may be exempt — but often only for residents.

To simplify asset transfers and avoid delays or fines, non-residents are strongly advised to create a Spanish will.

More info: Spanish Inheritance Tax Explained

Wealth Tax (Impuesto Sobre el Patrimonio)

Wealth tax is levied on total assets in Spain over €700,000 per person. Assets include real estate, investments, vehicles, art, and other valuables. This tax also applies to non-residents, but only on assets located in Spain.

The 2025 rates vary between regions, from 0.2% to 3.5%. Married couples with jointly owned property may benefit from doubled allowances, though each person must submit a separate return.

Residents receive an additional exemption of €300,000 for their primary residence — this does not apply to non-residents.

What Happens If I Don’t Pay?

The Spanish tax authorities are known for cross-referencing utility bills, bank records, and rental platforms like Airbnb to identify undeclared income or unpaid taxes. If caught, consequences can include:

• Interest and late penalties
• Embargoes on Spanish bank accounts
• Legal blocks on selling or transferring property
• Debt attached to the property, delaying inheritance or sale

You’ll usually be notified in writing, so it’s crucial to appoint a fiscal representative if you’re not physically in Spain.

Need Private Health Cover as a Non-Resident?

If you're a non-resident spending time in Spain — especially if applying for a visa or dealing with property and tax matters — it's smart to have valid private health cover in place.

Explore our Sanitas health insurance options for non-residents — full coverage, visa-compliant, and 100% in English.

Sources

Raymundo Larraín Nesbitt – Larraín Nesbitt Abogados – Spanish Tax Experts